EDU Dividend Type Payments
Although EDU has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on New Oriental Education & Technology Group, Inc. Sponsored ADR representi to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):
| New Oriental Education & Technology Group, Inc. Sponsored ADR representi (EDU) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 47.20 | 48.00 | 47.71 | -0.65 | 436K | 210 | 7.7B |
EDU Dividend-Like Income Using Covered Calls
With EDU at 47.71, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:
| Annual Yield | Annual Premium | Cents/Day |
|---|---|---|
| 3% | 1.43 | 0.4 |
| 5% | 2.39 | 0.7 |
| 10% | 4.77 | 1.3 |
So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:
| 3% Yield On EDU Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 16 | 50.00 | 0.25 | 10 | 2.5 | 2.00 (4.2%) | |
| Oct 17 | 50.00 | 5.40 | 164 | 3.3 | 2.00 (4.2%) | |
| 5% Yield On EDU Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 16 | 50.00 | 0.25 | 10 | 2.5 | 2.00 (4.2%) | |
| Oct 17 | 50.00 | 5.40 | 164 | 3.3 | 2.00 (4.2%) | |
| 10% Yield On EDU Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| May 16 | 50.00 | 0.25 | 10 | 2.5 | 2.00 (4.2%) | |
| Oct 17 | 50.00 | 5.40 | 164 | 3.3 | 2.00 (4.2%) | |
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| Top 10 Open Interest For May 16 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | IWM dividend | 1. | IONQ dividend | |
| 2. | SPY dividend | 7. | FXI dividend | 2. | LYFT dividend | |
| 3. | TLT dividend | 8. | TSLA dividend | 3. | CVNA dividend | |
| 4. | QQQ dividend | 9. | GLD dividend | 4. | PCT dividend | |
| 5. | SLV dividend | 10. | INTC dividend | 5. | PINS dividend | |
Want more examples? EDOW Dividend | EDV Dividend
